KARACHI: PPP Senator Saleem Mandviwalla has expressed worries about the “selected privatisation” of Pakistan International Airlines (PIA), and stated concerns about the lack of transparency in the process.

The formal divestment of Pakis­tan International Airlines Corpo­ration (PIACL) began on Friday, following the Privatisation Comm­ission’s appointment of a financial adviser for the transaction.

PIA faces ongoing crises, with Pakistan State Oil (PSO) refusing fuel supply due to payment issues, leading to the cancellation of numerous flights and pushing the national carrier to the brink of collapse.

In an interview on DawnNews show Doosra Rukh, Mr Mandviwalla discussed the divestment process. He claimed to have learned about a meeting chaired by caretaker Privatisation Minister Fawad Hasan Fawad on the issue. Mr Mandviwalla alleged that PML-N stalwart Saad Rafique, a former railways and aviation minister, was also in the meeting.

“We (PPP) are being accused of agreeing to privatisation under the caretaker government’s authority. However, if a former minister is participating in the meeting, it transforms this into a ‘selected privatisation’ rather than a transparent process,” he stated.

The senator said he was concerned that the airline would be sold to “whoever you want however you want”.

“We will witness a lack of transparency, and naturally, we will protest. The protest will take a political stance, involving PIA employees and the general public. Legal action is also an option as people may resort to court proceedings,” he emphasised.

When asked if he believed PML-N was in agreement with the privatisation process, he responded, “[Certainly], the PML-N is involved in it,” he said and reiterated his inquiry into Mr Rafique’s role at the meeting.

In response to the notion that the airline might be sold to individuals associated with the PML-N, the senator asserted that this wasn’t just a perception but “a fact.”

“If you conduct privatisation in this manner, it implies that you’ve already arranged a buyer and made an agreement with them, ensuring that ‘no one else will bid in the privatisation, and it will be awarded to you,’” Mr Mandviwalla stated.

He reiterated that the PPP would not accept privatisation conducted in such a manner and affirmed that the party would protest against it.

Earlier, PPP Senator Raza Rabbani also opposed PIA’s privatisation in all its forms, stating, “It seems questionable that PIA planes were functioning normally when the fuel supply was abruptly halted and then resumed. There should be an investigation into the precise events.”

He called for an inquiry into PSO’s refusal to supply fuel, expressing concerns that, “Through a deliberate campaign ... PIA is being prepared for a loot sale.”

The recent challenges faced by PIA followed the government’s announcement in August that it would privatise the airline as part of a fiscal discipline plan agreed under an International Monetary Fund bailout.

This has led some stakeholders to question whether the national airline is being readied for “a loot sale” through a deliberate campaign. The government’s plans have also sparked concerns among PIA staff, who fear for their job security and benefits.

Published in Dawn, November 13th, 2023